Switching costs are the forgone value of investments plus economic penalties and other expenses associated with finding,evaluating and using a new supplier.

Question

Quizplus · Accepted Answer

Switching costs refer to the costs and value associated with changing from one supplier or provider to another, including both the direct expenses (such as evaluating alternative options and implementing a new solution) as well as indirect costs (such as losing the benefits of existing relationships and investments).

Switching Costs Are the Forgone Value of Investments Plus Economic